Magnus International Resources Completes Conditions for Sale of the Huidong Propertyadmin
Magnus International Resources, Inc. announce that all of the conditions for the completion of the sale of its Huidong project to a Chinese mining group have now been met. The exploration license underlying the property has been renewed by the relevant Chinese authorities and 100% of the ownership interest in the company that possesses the license has been transferred to the Chinese group.
Pursuant to the sale agreement, Magnus already received 7 million RmB (approximately US$1 million) upon signing. The remaining 14 million RmB (approximately US$2 million) is now due and expected to be paid by the Chinese purchaser in the near-term. Magnus also retains a 3% NSR (Net Smelter Royalty) on any minerals produced from the property in the future.
Mr. Graham Taylor, Magnus’ President and CEO, stated, “At this stage of Magnus’ development, we feel that the best potential for us to make a world-class discovery lies in Uganda where we have been able to assemble an expanding portfolio of very promising projects in only two years of operation there. As an international exploration jurisdiction, Uganda has proven to be a cost-effective and “exploration-friendly” environment for Magnus. It is also a geologically prospective region that has seen little exploration using modern technologies even though it is on trend with some of the largest gold and copper deposits in the world. We look forward to making significant progress on our Ugandan portfolio and to adding new concessions based on our on-the-ground activities and our evaluation of the airborne geophysics program being shot over 80% of the country.”